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Monday, 22 April 2013

NBN: Black Holes in Coalition FTTN Plan

Previously I've written that the Coalition Financials don't add up for their majority FTTN NBN Plan: they've deliberately omitted material figures.One of the major differences between Fibre and Copper on the "last-mile" is ownership and reasonable reimbursement for a compulsorily acquired asset:

For copper lines, 100% are acquired and each must be paid for, in service or not.

For Fibre, compensation is only required for loss of earning capacity: only services in-use must be compensated by NBN Co.

Those are just the tip of the iceberg... Below is my current list, totalling around $22 billion extra in CapEx.

Financial projections supplied have material amounts omitted:

Interest, Depreciation, Change in Working Capital.

Modelled period is "short", only to 2019.

Every other model is to 2021 or 2024.

Model projections are cited for 2021, so we're told the model was run, just withheld.